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Inflation Appears to have Peaked

Yep, at least it’s a dip. The question is: what caused it? If it’s a drop in consumer spending, because folks simply can’t afford the current prices, then that may not be good news.
The cure for inflation is always higher prices.
 
What is running away in sustained high inflation?

constantly rising does fit runaway far better grammatically.
Prices are running away in sustained high inflation. That's what people are mostly focused on; they care a lot more about the price of bacon than they do about the month over month change in the rate of growth in CPI.
 
I long for the good old days when I complained about stuff costing too much and gas prices being too high and not a fascist government, religious tyranny, and my kids being shot dead learning the alphabet.
 
Purely anecdotal, but I travel a large territory, and my fuel bill is noticably lower. Haven't seen any noteworthy price drops for equip. or supply, but not sure they do recover, or how far behind that lags.
I use a book to record car mileage. My most expensive fill was $98, Monday I paid $76.
 
Looking good...

PPI is generally considered a leading indicator for CPI.

The biggest price increases were in eggs, beef, and construction. The biggest declines were in energy and grains.
More generally, the decline in PPI was nearly all for goods, with PPI for services flat for the month.
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Exactly - a reduction in the rate of increase of rents is not a reduction in the cost of rent.
Rents are up in the building I own because of climate change.
Employees received a raise but the biggest increase in overhead has been insurance costs (doubled) and the out of pocket expense of repairs after multiple freakish storms .
 
On Wednesday the five-year breakeven inflation rate fell to 2.48 percent. (The rate is the spread between ordinary interest rates and the interest rates on bonds that are protected against rising prices; it is therefore an implicit forecast of future inflation.)

The wholesale price of gasoline has fallen about 80 cents a gallon since its peak a month ago.

The cost of rents are down.

Shipping costs are down.

Mortgage rates have soared, which will reduce overall spending.

On the other hand, employment remains strong. (You can't talk about economics without an, "on the other hand...")
this is Not good news for the conservative/"libertarians."
 
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I don't consider inflation down till prices go back to pre-covid levels. And wages weren't even keeping up with the cost of living increases before.
 
this is Not good news for the conservative/"libertarians."
Conservatives and libertarians don't want these rises in prices to get better? Why would you think that?
 
I don't consider inflation down till prices go back to pre-covid levels. And wages weren't even keeping up with the cost of living increases before.

One step at a time.

 
I don't consider inflation down till prices go back to pre-covid levels. And wages weren't even keeping up with the cost of living increases before.
You will have a long wait, I fear. The true inflation, which by my definition means devaluation of the dollar by government expanding the money supply, is permanent and the dollar will never recover that lost value. The CPI which is affected by supply and demand is temporary and will eventually resolve itself. The CPI will decline over time. as supply and demand head toward equilibrium. The devaluation of the dollar will not change. So inflation as everyone else defines it (CPI) will decline but never to pre-covid levels. The permanent part happens every time government creates money but government rarely does so much of it that people even notice. 2021 was an exception.
 
just look at all of you cons and libers poo pooing this news.
I must have missed my poo pooing. I need to watch it more carefully. Wasted post.
 
Meanwhile oil companies are making lots of profit.
 
You will have a long wait, I fear. The true inflation, which by my definition means devaluation of the dollar by government expanding the money supply, is permanent and the dollar will never recover that lost value. The CPI which is affected by supply and demand is temporary and will eventually resolve itself. The CPI will decline over time. as supply and demand head toward equilibrium. The devaluation of the dollar will not change. So inflation as everyone else defines it (CPI) will decline but never to pre-covid levels. The permanent part happens every time government creates money but government rarely does so much of it that people even notice. 2021 was an exception.

The gov, investors, financial institutions, producers, suppliers, retailers, and all the other big money players are juicing the pandemic event for more profit and money. The elite top 10% are in super screw mode. Even with them making excuses with all their financial razzmatazz, it doesn't take an expert in economics to see what's happening.

If they don't stop cleaning out average people's pockets pretty soon, there's going to be a reckoning. And it won't be pretty.
 
The gov, investors, financial institutions, producers, suppliers, retailers, and all the other big money players are juicing the pandemic event for more profit and money. The elite top 10% are in super screw mode. Even with them making excuses with all their financial razzmatazz, it doesn't take an expert in economics to see what's happening.

If they don't stop cleaning out average people's pockets pretty soon, there's going to be a reckoning. And it won't be pretty.

I doubt the pandemic had anything at all to do with financial issues. The response to the pandemic certainly did, however. The response to the pandemic came from government. I tried to explain above.
 
I doubt the pandemic had anything at all to do with financial issues. The response to the pandemic certainly did, however. The response to the pandemic came from government. I tried to explain above.

You have to be kidding.

People - smart people who didn't want to get COVID, especially before vaccines became available - were staying home in droves. When possible, workplaces shifted to telework. Restaurants and movie theaters were empty. Hospitals were swamped, and elective/nonessential surgeries dropped to almost zero. And none of that had anything to do with the government, it was just people being careful.

I know you want to blame the government for everything, but don't ignore reality to get there.
 
You have to be kidding.

People - smart people who didn't want to get COVID, especially before vaccines became available - were staying home in droves. When possible, workplaces shifted to telework. Restaurants and movie theaters were empty. Hospitals were swamped, and elective/nonessential surgeries dropped to almost zero. And none of that had anything to do with the government, it was just people being careful.

I know you want to blame the government for everything, but don't ignore reality to get there.
I'm not kidding. The virus didn't do that. Reaction to it, very badly managed, did that. People decided to screw themselves based on misinformation. It is understandable and unfortunate.
 

Is it?

Latest estimate: 2.5 percent — August 10, 2022

The GDPNow model estimate for real GDP growth (seasonally adjusted annual rate) in the third quarter of 2022 is 2.5 percent on August 10, up from 1.4 percent on August 4. After recent releases from the US Bureau of Labor Statistics and the US Census Bureau, the nowcast of third-quarter real personal consumption expenditures growth, third-quarter real gross private domestic investment growth, and third-quarter real government spending growth increased from 1.8 percent to 2.7 percent, -0.3 percent to 0.2 percent, and 1.4 percent to 1.7 percent, respectively, while the nowcast of the contribution of the change in real net exports to third-quarter real GDP growth decreased from 0.35 percentage points to 0.30 percentage points.
 
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